NEWS RELEASE TSX.V PDG

PRODIGY ANNOUNCES CLOSING OF $42.5 MILLION BOUGHT DEAL FINANCING

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Vancouver, British Columbia, March 5, 2012. Prodigy Gold Incorporated ("Prodigy" or the "Company") has completed its previously announced bought deal financing (the "Offering"). Pursuant to the Offering, the Company has issued 37,500,000 Common Shares at a price of $0.80 per Common Share and 13,158,000 flow-through Common Shares (the "Flow-Through Shares") at a price of $0.95 per Flow-Through Share, for aggregate gross proceeds of $42,500,100.

The syndicate of underwriters was led by Casimir Capital Ltd. and Paradigm Capital Inc., and included
National Bank Financial Inc., Byron Capital Markets Ltd. and PI Financial Corp.
The Flow-Through Share proceeds will be used to incur eligible Canadian exploration expenditures that will be renounced to subscribers effective on or before December 31, 2012.
This news release does not constitute an offer to sell, or the solicitation of an offer to buy, Common Shares or Flow-through Shares in any jurisdiction, including the United States, or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption therefrom, nor shall there be any sale of Common Shares or Flow-through Shares in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state. The Common Shares and Flow-through Shares being offered will not be, and have not been, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, a U.S. person, absent U.S. registration or an applicable exemption therefrom.

On behalf of the Board of Directors Brian J. Maher President and Chief Executive Officer FOR FURTHER INFORMATION, PLEASE CONTACT: Prodigy Gold Incorporated Email: ir@prodigygold.com Website: www.prodigygold.com

tel.: 1-604-688-9006 Fax: 1-604-688-9029

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts

responsibility for the adequacy or accuracy of this release. This news release contains forward-looking statements regarding the business and operations of Prodigy. In particular, statements regarding use of proceeds, the closing of the Offering and the renunciation of Canadian exploration expenditures are forward-looking statements. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Prodigy's plans or expectations include risks relating to the actual results of current exploration activities, fluctuating gold prices, possibility of equipment breakdowns and delays, exploration cost overruns, availability of capital and financing, general economic, market or business conditions, regulatory changes, timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by Prodigy with securities regulators. Prodigy expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.